Hilton Grand Vacations Completes $500 Million Term Note Securitization

Securitization transaction reinforces long-term cash flow generation and positions company well for the year

Apr. 16, 2026 at 8:21pm

Got story updates? Submit your updates here. ›

A close-up image of intricate, heavy-duty banking machinery and mechanisms, conveying a sense of industrial power and financial security without using any literal currency or symbols.Hilton Grand Vacations' $500 million securitization deal showcases the company's robust financial infrastructure and long-term cash flow generation capabilities.Today in Orlando

Hilton Grand Vacations Inc. (NYSE:HGV) announces the completion of a $500 million securitization of timeshare loans through Hilton Grand Vacations Trust 2026-1. The transaction included the issuance of four classes of Notes with coupon rates ranging from 4.67% to 7.21% and an overall weighted average coupon rate of 5.13% and an overall advance rate of 98%. Proceeds will be used to pay down debt and for other general corporate purposes.

Why it matters

This securitization transaction demonstrates Hilton Grand Vacations' ability to access capital markets and optimize its financing program, which is crucial for supporting the company's growth and operations in the timeshare industry. The strong execution amid market volatility reinforces the long-term cash flow generation of Hilton Grand Vacations' business model.

The details

The four classes of Notes issued include approximately $210.2 million of Class A Notes, $160.5 million of Class B Notes, $82.9 million of Class C Notes, and $46.4 million of Class D Notes. The transaction was executed at a 98% advance rate, which the company says positions it well for the year ahead. Proceeds, net of fees, will be used to pay down debt and for other general corporate purposes.

  • The securitization transaction was completed on April 16, 2026.

The players

Hilton Grand Vacations Inc.

A leading global timeshare company and the exclusive vacation ownership partner of Hilton. The company develops, markets, and operates a system of brand-name, high-quality vacation ownership resorts.

Dan Mathewes

President and chief financial officer of Hilton Grand Vacations.

Wells Fargo Securities

Served as the Structuring Lead Manager and Joint Bookrunner for the securitization transaction.

Fitch Ratings

Rated certain classes of the securitization transaction.

Moody's Investors Service, Inc.

Rated certain classes of the securitization transaction.

Got photos? Submit your photos here. ›

What they’re saying

“We started the year with strong momentum, completing our first issuance of 2026 and building on last year's successful execution of our financing business optimization program. This $500 million transaction, executed at a 98% advance rate amid market volatility, reinforces the long-term cash flow generation of the business and positions us well for the year.”

— Dan Mathewes, President and chief financial officer of Hilton Grand Vacations

What’s next

Hilton Grand Vacations plans to use the proceeds from the securitization to pay down debt and for other general corporate purposes, which will help strengthen the company's financial position and support its growth initiatives.

The takeaway

This securitization transaction demonstrates Hilton Grand Vacations' ability to access capital markets and optimize its financing program, which is crucial for supporting the company's growth and operations in the timeshare industry. The strong execution amid market volatility reinforces the long-term cash flow generation of Hilton Grand Vacations' business model, positioning the company well for the year ahead.